Strength of UK housing market creating even more 'property millionaires'

The extent to which homes in London and the south of England have held their value despite the tough economic climate has once again been highlighted by new statistics showing that the top ten per cent of UK households now boast assets worth around £1 million.

According to the latest data made public by the Office for National Statistics (ONS), 15 per cent of all households across the south-east of England boast assets of at least £967,000, compared with just 6.9 per cent of households in Scotland.

Meanwhile, in London, this figure stands at 12.5 per cent, while in the south-west of England, a figure of 11.2 per cent has been recorded.

As well as pension pots and savings and investments, assets counted by the ONS include properties owned by landlords renting out to tenants, as well as properties lived in by their owners.

Indeed, both buy-to-let investments and holiday homes in UK hotpots such as the Cotswolds or overseas were seen to play a significant role in boosting the value of an individual's assets, again pointing to the ongoing strength of the UK rental property sector.

At the other end of the scale, the ONS data shows that around half of all Britons currently have little or no assets of their own, with a large proportion of the 'lower half' of UK society likely to be renting a home into their retirement, spelling good news for landlords keen to enjoy long-term returns on their investments.

This comes soon after figures compiled and released by Emerging Real Estate showed ongoing demand for rental property in all parts of London.

According to the company's research, despite the high cost of living in the capital, London continues to draw in Britons from other parts of the country, with its vibrant lifestyle and the enhanced career opportunities on offer also attracting foreign nationals.

Thanks to this strong interest, London rents have been seen to increase by 32 per cent over the past three years alone, again spelling good news for landlords with one or more properties in the capital.

Meanwhile, figures published by Barclays show that Wales is the place to be for homeowners keen to take a step up the property ladder.

According to the mortgage lender’s figures, homeowners in Wales looking to move from a three-bed to a four-bed property can expect to pay an average of £36,000 for the step up, compared with a £154,000 difference in London.